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Dividend Yield
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Weekly Dividend Stock Ideas Researched by The
Dividend Yield Weekly
. Our weekly Dividend Idea is the leading restaurant operator and
franchises company McDonald's (
MCD
). McDonald's owns and franchises its restaurants all over the
world. By the end of 2011, the company had 33,510 restaurants in
119 countries, of which 27,075 were operated by franchisees and
6,435 were operated by the company. MCD operates a proven business
model with a well diversifed global structure. The company is a
strong established Dividend Champion and raised dividends over a
period of 36 consecutive years with a double-digit long-term growth
rate. Morningstar estimates the fair value of the company at $94.0
which represents an upside potential of 7.64% compared to the
previous close price of $87.33.
We like the strong brand and consumer focus of McDonald's. The
huge cash flow of $7.1 billion allows the company to pay $2.6
billion in dividends and to repurchase $3.0 billion of own shares
as of fiscal year 2011. Roughly $2.7 billion were used for
CAPEX.
Here is a short biography of the stock:
McDonald's (
MCD
)
has a market capitalization of $87.44 billion. The company employs
420,000 people, generates revenue of $27,006.00 million and has a
net income of $5,503.10 million. The firm's earnings before
interest, taxes, depreciation and amortization (EBITDA) amounts to
$9,766.70 million. The EBITDA margin is 36.16 percent (operating
margin 31.58 percent and net profit margin 20.38 percent).
Financial Analysis:
The total debt represents 37.89 percent of the company's assets and
the total debt in relation to the equity amounts to 86.87 percent.
Due to the financial situation, a return on equity of 37.92 percent
was realized. Twelve trailing months earnings per share reached a
value of $5.31. Last fiscal year, the company paid $2.53 in form of
dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 16.33,
P/S ratio 3.26 and P/B ratio 6.20. Dividend Yield: 3.53 percent.
The beta ratio is 0.41.
Darden Restaurants
(
DRI
) has a market capitalization of $6.76 billion. The company
generates revenue of $7,998.70 million and has a net income of
$476.50 million. The firm's EBITDA amounts to $1,088.00 million.
The EBITDA margin is 13.60% (operating margin 7.98% and net profit
margin 5.96%).
The total debt represents 35.68% of the company's assets and the
total debt in relation to the equity amounts to 115.13%. Last
fiscal year, a return on equity of25.22% was realized. Twelve
trailing months earnings per share reached a value of $3.66. Last
fiscal year, the company paid $1.72 in form of dividends to
shareholders.
Here are the price ratios of the company: The P/E ratio is
14.36, Price/Sales 0.85 and Price/Book ratio 3.69. Dividend Yield:
3.80%. The beta ratio is 0.86.
Dunkin Brands
(
DNKN
) has a market capitalization of $3.73 billion. The company
generates revenue of $628.20 million and has a net income of $34.44
million. The firm's EBITDA amounts to $207.33 million. The EBITDA
margin is 33.00% (operating margin27.23% and net profit margin
5.48%).
The total debt represents 45.70% of the company's assets and the
total debt in relation to the equity amounts to 197.53%. Last
fiscal year, a return on equity of6.55% was realized. Twelve
trailing months earnings per share reached a value of $0.72. Last
fiscal year, the company paid no dividends to shareholders.
Here are the price ratios of the company: The P/E ratio is
43.04, Price/Sales 5.27 and Price/Book ratio 5.05. Dividend Yield:
1.91%. The beta ratio is not calculable.
Yum! Brands
(
YUM
) has a market capitalization of $31.58 billion. The company
generates revenue of $12,626.00 million and has a net income of
$1,335.00 million. The firm's EBITDA amounts to $2,392.00 million.
The EBITDA margin is 18.95% (operating margin 14.38% and net profit
margin 10.57%).
The total debt represents 37.55% of the company's assets and the
total debt in relation to the equity amounts to 181.95%. Last
fiscal year, a return on equity of 77.61% was realized. Twelve
trailing months earnings per share reached a value of $3.40. Last
fiscal year, the company paid $1.07 in form of dividends to
shareholders.
Here are the price ratios of the company: The P/E ratio is
20.58, Price/Sales 2.51 and Price/Book ratio 17.71. Dividend Yield:
1.91%. The beta ratio is 0.88.
Tim Hortons
(
THI
) has a market capitalization of $7.70 billion. The company
generates revenue of $2,867.88 million and has a net income of
$387.76 million. The firm's EBITDA amounts to $674.50 million. The
EBITDA margin is 23.52% (operating margin19.96% and net profit
margin 13.52%).
The total debt represents 23.44% of the company's assets and the
total debt in relation to the equity amounts to 44.83%. Last fiscal
year, a return on equity of29.57% was realized. Twelve trailing
months earnings per share reached a value of $2.56. Last fiscal
year, the company paid $0.68 in form of dividends to
shareholders.
Here are the price ratios of the company: The P/E ratio is
19.40, Price/Sales 2.69 and Price/Book ratio 6.78. Dividend Yield:
1.71%. The beta ratio is 0.71.
Starbucks
(SBUX) has a market capitalization of $34.86 billion. The company
generates revenue of $11,700.40 million and has a net income of
$1,248.00 million. The firm's EBITDA amounts to $2,078.10 million.
The EBITDA margin is 17.76% (operating margin 14.77% and net profit
margin 10.67%).
The total debt represents 7.47% of the company's assets and the
total debt in relation to the equity amounts to 12.53%. Last fiscal
year, a return on equity of30.91% was realized. Twelve trailing
months earnings per share reached a value of $1.79. Last fiscal
year, the company paid $0.56 in form of dividends to
shareholders.
Here are the price ratios of the company: The P/E ratio is
25.58, Price/Sales 3.00 and Price/Book ratio 7.86. Dividend Yield:
1.47%. The beta ratio is 1.23.
Burger King World
(BKW) has a market capitalization of $5.23 billion. The company
generates revenue of $2,075.80 million and has a net income of
$84.60 million. The firm's EBITDA amounts to $335.60 million. The
EBITDA margin is 16.17% (operating margin 16.17% and net profit
margin 4.08%).
Linked is the our full Dividend Idea (McDonald's) as free
PDF-report
.
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* I am long in MCD and DRI shares. I receive no compensation to
write about these specific stocks, sector or theme. I don't plan to
increase or decrease positions or obligations within the next 72
hours.
For the other stocks: I have no positions in any other stocks
mentioned, and no plans to initiate any positions within the next
72 hours. I receive no compensation to write about any specific
stock, sector or theme.
The stock analysis, including the rating and up/down potential,
is based on historical information and provided by several data
provider like Thompson Reuters, Morningstar, GoogleFinance,
YahooFinance and MSN. The analysis assumes the stock will perform
in the future as it has in the past. This is generally never true.
Material presented here is for informational purposes only. Before
buying or selling a security, you should do your own research and
reach your own conclusion.